Simple Interest- Worksheet 1 worksheet - Free Printable

Problem Explanation:

The task involves calculating simple interest using the formula:

\[
\text{Simple Interest (I)} = P \times R \times T
\]

Where:
- \( P \) = Principal (the initial amount of money)
- \( R \) = Rate of interest per year (in decimal form)
- \( T \) = Time in years

We will solve each part step by step.

---

Part 1: Identify Principal, Rate, and Time, then calculate Simple Interest

#### (a) \$500 for 2 years at 4% p.a.
1. Identify the values:
- Principal (\( P \)) = \$500
- Rate (\( R \)) = 4% = 0.04 (convert percentage to decimal)
- Time (\( T \)) = 2 years

2. Formula:
\[
I = P \times R \times T
\]

3. Substitute the values:
\[
I = 500 \times 0.04 \times 2
\]

4. Calculate:
\[
I = 500 \times 0.08 = 40
\]

5. Final Answer:
\[
\text{Interest} = \$40.00
\]

#### (b) \$6800 for 5 years at 12% p.a.
1. Identify the values:
- Principal (\( P \)) = \$6800
- Rate (\( R \)) = 12% = 0.12 (convert percentage to decimal)
- Time (\( T \)) = 5 years

2. Formula:
\[
I = P \times R \times T
\]

3. Substitute the values:
\[
I = 6800 \times 0.12 \times 5
\]

4. Calculate:
\[
I = 6800 \times 0.6 = 4080
\]

5. Final Answer:
\[
\text{Interest} = \$4080.00
\]

---

Part 2: Complete the Table

We will use the same formula \( I = P \times R \times T \) for each row in the table.

#### Row 1:
- \( P = 5225 \)
- \( R = 3\% = 0.03 \)
- \( T = 2 \) years

\[
I = 5225 \times 0.03 \times 2 = 5225 \times 0.06 = 313.50
\]

#### Row 2:
- \( P = 24,000 \)
- \( R = 5\% = 0.05 \)
- \( T = 7 \) years

\[
I = 24,000 \times 0.05 \times 7 = 24,000 \times 0.35 = 8,400.00
\]

#### Row 3:
- \( P = 8575 \)
- \( R = 9\% = 0.09 \)
- \( T = 3 \) years

\[
I = 8575 \times 0.09 \times 3 = 8575 \times 0.27 = 2,315.25
\]

#### Row 4:
- \( P = 6700 \)
- \( R = 2\% = 0.02 \)
- \( T = 1 \) year

\[
I = 6700 \times 0.02 \times 1 = 6700 \times 0.02 = 134.00
\]

#### Row 5:
- \( P = 10,000 \)
- \( R = 15\% = 0.15 \)
- \( T = 5 \) years

\[
I = 10,000 \times 0.15 \times 5 = 10,000 \times 0.75 = 7,500.00
\]

---

Completed Table:

| PRINCIPAL (P) | RATE (R) | TIME (T) | INTEREST (I) |
|---------------|----------|----------|--------------|
| \$5225 | 3% | 2 YEARS | \$313.50 |
| \$24,000 | 5% | 7 YEARS | \$8,400.00 |
| \$8575 | 9% | 3 YEARS | \$2,315.25 |
| \$6700 | 2% | 1 YEAR | \$134.00 |
| \$10,000 | 15% | 5 YEARS | \$7,500.00 |

---

Final Answers:

1. (a) Interest = \$40.00
(b) Interest = \$4080.00

2. Completed Table:
- Row 1: \$313.50
- Row 2: \$8,400.00
- Row 3: \$2,315.25
- Row 4: \$134.00
- Row 5: \$7,500.00

\boxed{\text{See detailed steps above for complete solutions.}}